How Did Arizona Officials Get Caught Off Guard With Theranos?

Arizona Attorney General Mark Brnovich on Tuesday announced a $4.65 million settlement for consumer restitution from Theranos, the med-tech startup that was once the darling of Silicon Valley but has since faced legal problems for lab errors and deficiencies.

In a statement, Brnovich said, “This is a great result and a clear message that Arizona’s consumer protection laws will be vigorously enforced.”

He also says the settlement will not allow Theranos to own, operate or direct any laboratory in Arizona for two years.

It was touted as a great victory for Arizonans, but the backstory of Theranos in Arizona is a little more complicated.

In fact, Arizona welcomed Theranos with open arms even as other states like California and Pennsylvania cast their doubts.

So what happened, and how did Arizona’s elected officials get caught so off guard?

For questions or comments about this website, please contact the KJZZ webmaster. For general comments or questions see the Contact KJZZ page for a listing of contacts by topic. Please note: Station policy mandates that listeners who win on-air giveaways on this station are not eligible to win again for 30 days.

Email regarding NPR's coverage, ethics, and funding can be sent to the NPR Ombudsman, who maintains an informative web page. For comments or concerns regarding NPR programs, listeners with a general inquiry, visit NPR's contact form.